Research On The Effect Evaluation And Optimization Of H Medicine Co.'s Equity Incentives

As a long-term incentive system,equity incentive is an important means to solve the problem of a company's internal governance.Equity incentive can make the incentive objects reduce the short-sighted behavior and focus on the long-term interests of the company,make them actively improve the value of the company and thus increasing their wealth.Besides,it can effectively prevent the incentive objects from doing behaviors that harm the company's interests for their benefit.The pharmaceutical industry is characterized by high technology,high investment,and high growth.The development of each innovative drug is highly dependent on professional and technical personnel,and human resources are scarce in the industry.Because the research and development cycle of the pharmaceutical industry is relatively long,how to attract and retain talents,and how to stimulate the motivation and creativity of the company's management team and core backbones,is an essential test for companies in this industry.However,from the perspective of the equity incentive plans announced by existing listed companies in the pharmaceutical industry,the implementation effects are not the same.In order to improve the effectiveness of equity incentive for companies in this industry,it is of considerable significance to do research on.the effect evaluation and optimization of equity incentive for listed companies in China's pharmaceutical industry.This article takes H Medicine Co.,Ltd.as the research object,and uses literature research methods,event research methods and other research methods to evaluate the implementation effect of the three equity incentives of H Medicine Co.and analyze existing problems in the three equity incentives of H Medicine Co.,and put forward optimization suggestions and safeguard measures.Firstly,based on relevant literatures of equity incentive,this article starts with the development background of the pharmaceutical industry and proposes the theme and significance of the thesis research.Secondly,based on the principal-agent theory,human capital theory,and comprehensive incentive theory,combined with characteristics and motivations for H Medicine Co.to implement equity incentives,a four-dimensional evaluation idea of equity incentive implementation effect is constructed.This article evaluates the implementation effect of H Medicine Co.'s three equity incentives from four aspects: financial performance dimension,market performance dimension,innovation performance dimension and comprehensive performance dimension,and analyzes the existing problems of H Medicine Co.'s three equity incentives.Then,according to the problems in H Medicine Co.'s equity incentives,this article put forward the corresponding optimization suggestions as well as safeguard measures.Finally,the relevant conclusions are summarized and draw,with a view of playing the role of equity incentives,to help H Medicine Co.improve the design and implementation of equity incentives.In this way,the purpose of promoting the improvement of the overall performance of the enterprise,maintaining the sustainable and stable development of the enterprise,and maintaining the leading position in the industry can be better achieved..The research purpose of this article is to provide a four-dimensional evaluation idea of equity incentive implementation effect for listed companies in the pharmaceutical industry in China,and the general problems and optimization suggestions put forward in this article can provide a certain reference for the design and optimization of equity incentive plans of the same industry companies in the future.